KBRA Affirms BBB Issuer and Securities Ratings for Easterly Government Properties LP

KBRA has affirmed its BBB issuer rating for Easterly Government Properties LP (Easterly), which is the principal operating subsidiary of parent company Easterly Government Properties, Inc. The Rating Outlook is Stable. KBRA has also affirmed its BBB/Stable ratings for Easterly’s outstanding $1.025 billion senior unsecured notes due 2027 – 2034.

The ratings reflect Easterly’s portfolio of properties primarily leased to U.S. government agencies, which provides strong tenant credit quality and highly predictable cash flows, supported by a longstanding track record of limited tenant turnover. These strengths are balanced by the company’s relatively modest portfolio scale, as well as its leverage and cash flow coverage profile. The Stable Outlook reflects KBRA’s expectation that Easterly will maintain a generally stable operating and financial profile, supported by continued high occupancy, while prudently managing leverage and maintaining adequate liquidity.

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